Listen to this article
Bandhan Mutual Fund has launched its solution oriented scheme - Bandhan Retirement Fund.
The NFO Opens on September 28 and closes on October 12.
The scheme will invest will invest in both equity and debt and follow dynamic asset allocation like balanced advantage funds. However, the fund will have at least 65% exposure to equities to offer equity taxation. The debt portfolio would be diversified across g-sec, SDL, corporate bonds and money market instruments.
The fund will have a 5-year lock-in period.
In a press release, Viraj Kulkarni, Fund Manager, Bandhan MF said, “The fund follows a model-based approach for dynamic allocation across equity and debt to participate in the market upside while cushioning the potential downside during a market fall. This quantitative model has a robust combination of valuation, fundamental, and technical parameters to make the allocation effective for investors. The fund also allows investors to choose the SWP route to meet their cash flow needs post-retirement.”
Vishal Kapoor, CEO, Bandhan MF said, “Higher life expectancy, rising cost of living, and soaring healthcare inflation could squeeze investor savings, making it pertinent to plan for retirement. Generally, investors with a conservative approach to building a retirement plan grapple to beat inflation, facing a shortage of funds to meet their expenses. While maintaining the same standard of living post-retirement is imperative, the lack of preparedness could derail the journey to create a sizeable retirement corpus. Mutual funds are an effective vehicle for retirement planning, offering the benefit of relatively higher growth potential. Investors looking for a retirement product that combines the benefits of diversification, tax efficiency, and the potential to beat inflation over the long term could consider investing in the fund.”
